{"id":395635,"date":"2020-05-06T11:46:45","date_gmt":"2020-05-06T09:46:45","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=395635"},"modified":"2020-05-06T15:05:23","modified_gmt":"2020-05-06T13:05:23","slug":"a-shocking-picture-of-what-its-like-to-be-a-small-business-owner-in-south-africa-right-now","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/business\/395635\/a-shocking-picture-of-what-its-like-to-be-a-small-business-owner-in-south-africa-right-now\/","title":{"rendered":"A shocking picture of what it’s like to be a small business owner in South Africa right now"},"content":{"rendered":"

Findings from a new poll by the National Small Business Chamber (NSBC) highlights the continued pain experienced by small businesses coming out of level-5 of the lockdown in South Africa.<\/p>\n

The Covid-19 National Small Business Survey canvassed thousands of small businesses throughout the country, providing insights into the catastrophic effects of the level-5 lockdown period as a result of the Covid-19 pandemic.<\/p>\n

President Cyril Ramaphosa first instituted a total lockdown (level 5) on 26 March, which was extended to the end of April. The country then moved to level 4 on 1 May, meaning a slightly relaxed form of lockdown.<\/span><\/p>\n

The deep challenges are expected to worsen until lockdown reaches level-2 and level-1, when most small businesses will get back to some form of normality, the chamber said.<\/p>\n

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\u201cOne of the disturbing challenges facing small businesses is the inability for small businesses to access relief-funding.<\/p>\n

“The survey revealed that of the 53% of small businesses that applied for relief-funding, only 6% of the applicants received funding. Reasons cited for this range from poor or no-response, unnecessary qualifying criteria and lengthy tedious processes,\u201d said Mike Anderson, founder & chief executive officer of NSBC.<\/p>\n

He said that 94% of small businesses stated that they are either now in a cash- flow crisis or will be within the next 30 days.<\/p>\n

“Government urgently needs to remove all the red-tape and speed up the relief-funding processes and make this funding available to all small businesses throughout the nation.”<\/p>\n

Anderson said that further disturbing insights into the survey reveals that 63% of small businesses have already and expect to lay-off workers within the next 30 days. Only 8.5% of small businesses are back to normal at level-4 and more than 75% will only be back to normal at level-2 and level-1, the most being at level-1.<\/p>\n

A summary of the Covid-19 National Small Business Survey:<\/p>\n